This is a great time for investors looking for better fixed deposit interest rates. India’s top five NBFCs are currently offering FD interest rates of up to 8.9%, with companies like Muthoot Capital and Shriram Finance leading the way. Returns vary across different tenures.
FD interest rates: Nowadays, as bank FD interest rates are gradually stabilizing, NBFCs (Non-Banking Financial Companies) are offering excellent returns to investors. If you invest in fixed deposits or are looking for options with safe returns, this list is extremely beneficial for you.
Many investors don’t compare FD rates from different lenders and end up investing at lower interest rates. However, a proper comparison can significantly increase your annual returns. Therefore, here we present a list of the five NBFCs offering the highest interest rates. Some companies are offering up to 9.1%.
1- Muthoot Capital – Highest interest rate of up to 9.10%
If there’s one NBFC that tops this list, it’s Muthoot Capital. This NBFC offers annual interest rates of up to 9.10%, which is quite attractive in the market right now. Its biggest advantage is that investors with a 36-month investment tenure earn approximately 2% higher returns than bank FDs.
| Tenor (Months) | Interest Rate (%) |
|---|---|
| 12 | 7.90 |
| 24 | 8.70 |
| 36 | 9.10 |
| 48 | 8.90 |
| 60 | 8.90 |
2- Shriram Finance – 7% to 7.6% Interest
Shriram Finance’s FD security is considered strong. It offers good interest rates on FDs ranging from 12 to 60 months. Longer tenures can earn you up to 7.6% interest.
| Tenor (Months) | Annual Interest (%) |
|---|---|
| 12 | 7.00 |
| 15 | 7.25 |
| 18–23 | 7.15 |
| 24–35 | 7.25 |
| 36–60 | 7.60 |
3- Bajaj Finance – Interest Rates from 6.6% to 6.95%
Bajaj Finance is one of the most trusted NBFCs in the country, and FDs here are considered safe and stable. However, their interest rates are slightly lower. Senior citizens can also earn an additional 0.25%, or up to 7.20%.
| Tenor (Months) | Interest (%) |
|---|---|
| 12–14 | 6.6 |
| 15–23 | 6.75 |
| 24–60 | 6.95 |
| Tenor (Months) | Interest (%) |
|---|---|
| 15 | 6.75 |
| 30 | 7.00 |
| 42 | 7.00 |
5- PNB Housing Finance – Interest ranging from 6.85% to 7.10%
If you want a safe return of above 7%, an FD from PNB Housing Finance could be the right choice for you. Senior citizens get an additional 0.25% interest.
| Tenor (Months) | Interest (%) |
|---|---|
| 12–23 | 6.85 |
| 24–35 | 7.00 |
| 36–47 | 7.10 |
| 48–59 | 7.10 |
| 60 | 7.10 |
Why are NBFC FDs more beneficial?
Interest rates are higher than bank FDs.
High returns even on shorter tenures.
Easy to open FDs online at many NBFCs.
Additional interest for senior citizens.
Conclusion
If you want good, stable, and secure FD returns, NBFC FDs can be a strong option. Muthoot Capital and Shriram Finance are currently offering the highest interest rates. However, before investing, it’s crucial to consider the NBFC’s rating, the company’s stability, and the investment horizon. By making the right comparison, you can earn up to 1-2% more interest, significantly boosting your returns in the long run.
